The Ministry of Finance yesterday declared that India's gross goods and service tax (GST) revenue collection in the month of June stood at rupees 1,61,497 crores, which marks a rise of 12% on a yearly basis. The Goods and Service Tax replaced all the indirect taxes levied by the government, on 1st July, 2017. As the tax completes 6 years of its execution, it has been the 4^th time, that the total collection has crossed the 1.60 lakh crores mark.

TRENDS OF GST

The Ministry of Finance stated, that out of the total amount of GST(Rs 1,61,497 crores) collected, the CGST (Central Goods and Service Tax) is Rs 31,013 crores and the SGST (State Goods and Service Tax) is Rs 38,292 crores and the IGST (Integrated Goods and Service Tax) is Rs 80,292 crores. The revenue from GST increased by 12% in comparison to the revenue during the same month in the previous year. The country recorded the highest collection in April this year, of Rs 1.87 lakh crores

The ministry further went on comparing the average monthly gross collection of GST for the first quarter i.e. April- June, for the financial years 2021-22, 2022-23, 2023-24  at  Rs 1.10 lakh crores, Rs 1.51 lakh crores and Rs 1.69 lakh crores respectively

NIRMALA SITHARAMAN'S STATEMENT

Finance Minister Nirmala Sitharaman praised the transformative impact of GST, emphasizing its role in reducing taxes for consumers by eliminating the burden of 'tax-on-tax' and contributing to the financial prosperity of states. She commended the unwavering dedication and perseverance of tax officers, highlighting their instrumental role in establishing the monthly GST revenue of Rs 1.60 lakh crore as the "new normal".

Continuing the trend, automobile manufacturers witnessed a remarkable sixth consecutive month of over 300,000 sales in June, signalling a robust start to the first quarter of FY 24 and bolstering the economy. Additionally, there was a slight moderation in fuel demand compared to the peak levels observed in May.

This sustained growth in the automotive sector highlights the positive momentum and resilience of the economy. Furthermore, the easing of fuel demand suggests a stabilization in consumption patterns, further contributing to the overall economic stability. The finance minister commented, that these factors have definitely contributed to the 12% increase in the GST revenue from the previous year.